UBS Free of 17-Year-Old Securities Suit Over Enron Stock

A group of UBS Financial Services Inc. investors can’t revive their suit accusing the company of helping Enron Corp. defraud them, the Fifth Circuit said May 24.

The investors blamed UBS for losses suffered when Enron collapsed in 2001 after a massive accounting fraud scandal. But they didn’t sufficiently allege that UBS was responsible for their Enron-related losses, the U.S. Court of Appeals for the Fifth Circuit said, affirming the dismissal by a lower federal court.

Those suing UBS include brokerage customers who purchased Enron stock and former Enron employees who blame the financial services firm for its role in ...